Akola Group (AKO1L) Q3 2025 earnings summary

Executive summary

• Revenue for the nine months ended March 31, 2025, rose to €1,165.9M, up 3.6% year-over-year, with net profit more than doubling to €31.8M from €15.2M.

• EBITDA reached €72M, significantly above the five-year average of €42M, and EPS increased to €0.25.

• Group structure remains stable with 62 subsidiaries, and key acquisitions in Latvia expanded trading and pest control services.

• Management credits strong results to outstanding poultry and milking operations, balanced trading and food segments, and new production capacity.

• Market conditions were shaped by volatile grain, energy, and input prices, but the Group capitalized on favorable poultry and milk markets.

Financial highlights

• Gross profit for nine months was €130.3M, up from €111.2M, with a gross margin of 11.2%, above last year and the five-year average.

• EBITDA for the period was €72M, up from €52.8M; EBIT margin at 4%, above the 3% strategic goal and five-year average of 2%.

• Net profit more than doubled to €31.8M from €15.2M; EPS at €0.25, well above the five-year average of €0.16.

• Sales for nine months at €1.17B, up 4% year-on-year, with 3% volume growth.

• Price-to-earnings ratio below 5, significantly lower than the five-year average of 14.2.

Outlook and guidance

• Strategic EBITDA target remains €70–90M; management will update guidance if upside is identified.

• Growth expected from recent investments in food and trading segments, including new factories and capacity expansions.

• Management remains cautious about volatility in global grain, energy, and input prices, and is monitoring geopolitical and trade policy risks.

• Dividend policy set at 20% of consolidated net profit, expected to continue barring extraordinary events.

• Moderate to material price increases in 'Food' and 'Farming' segments are expected to support future results.